Nescafe Case Study
Nescafe Case Study
SUBMITTED
TO
SIR SHAHID ZAMAN KHOKHER
BY
Tahira
L1S20MSBA0012
SESSION 2020-2022
BUSINESS SCHOOL
Faculty of Management Science
UNIVERSITY OF CENTRAL PUNJAB
1 - Khayaban-e-Jinnah Road, Johar Town, Lahore, Pakistan
Nescafe Case Study
Question No.1
Why did Nescafe changed it’s positioning? Based on the concept of “positioning”, you
are required to identify on what basis is Nescafe doing it’s positioning. Identify its old
and new positioning statements.
Answer:
Positioning is the process of establishing an image in the minds of clients in order for them to
eventually associate the product with the image and have good thoughts about it. As a result,
customers will have a certain perception of the goods. Nescafe shifted their positioning in
order to reach a wider audience and enhance sales. Nescafe's previous positioning attempted
to attract clients with a high income. Nothing compares to gold...Gold Blend reflects the
product's high quality. Superior quality combined with a greater price would indicate that it is
a fine product used by people of high socioeconomic status. When there is a shift in
positioning, it is important to notice that quality and pricing are unaffected, but the product is
positioned to appeal to a younger demographic. The emotional approach stated that the
younger generation saw themselves as intelligent individuals who drank and enjoyed coffee
and related the experience to their inner sophistication. The commercial in this example
conveyed the concept that Gold Blend is the coffee to drink to show off your refinement.
Question No.2:
From the case study identify the four elements of Creative/Advertising Strategy. Which
of these four elements in your opinion has the maximum weightage and WHY?
Answer:
1- Overall Objective: To increase the sales and market share of Gold Blend.
2- Target Audience: High income people and younger people.
3- Tone: They adopted romantic story to convey the message of sophistication.
4- Promise: Gold Blend promised the sophistication if you drink this coffee.
Question No. 3:
Answer:
Marketing Mix
Price: High
Promotion: TV Advertisement